Wealth Protection

Exploration is key for financial planning

During the 1990s, John Bonnemort spent the early part of his career working in Silicon Valley immersed in the rapidly growing technology industry. So, when it comes to technology, he is all for using the latest and greatest innovations as long as they fit one caveat: Does the technology best serve his clients today in his role as a financial advisor?

When asked by “Advisors Magazine” about the rising trends of people turning to online platforms – known as robo-advisors – to plan, manage, and invest their money, Bonnemort doesn’t think it’s the best option for people seeking well-qualified financial advice.

“I am not against using technology, but I also do not believe that an algorithm can give comprehensive financial planning advice that will efficiently help someone sort through all of the options to find the appropriate solution,” he said.

As the founder and president of Alta Peak Wealth Management, LLC, located in Salt Lake City, Utah, Bonnemort’s goal is to map out a path for his clients from their current financial position to where they want to be in the future. His process starts with exploring all the investment avenues in which a client could navigate.

“I think in this industry we have failed to answer the client’s fundamental questions regarding their financial futures,” Bonnemort said. “Instead we push products, which are nothing more than tools. Our focus should be on solving the client’s problem first and then determining which products will do that.”

And that focus extends far beyond just handing a client a product prospectus, a cumbersome document that he believes needs to be simplified to be effective.

“Most advisors don’t read a prospectus cover to cover,” he said. “How can we expect clients to? It needs to be a document that is much more user friendly – more accessible and easier to understand,” he said, adding however, that some progress has been made to include summary pages that help with fee transparency and provide a better overview of the product for the client.

While Bonnemort isn’t convinced the financial services industry will ever create simple enough documentation for Mainstream America, he does contend that it’s the duty of professionals working in a capacity to translate financial jargon for clients into relatable terms.

“If you as a financial professional take the time to go through and answer every question your client asks and are very, very clear regarding how you are compensated and the value you bring to them, then this industry will be fine and clients will walk away with a better understanding of their insurance, their investments, and their wealth management,” Bonnemort said. “At the end of the day, that is the ultimate goal.”

For more information on Alta Peak Wealth Management, LLC, visit: altapeakwealth.com

John Bonnemort is a registered representative of Lincoln Financial Advisors Corp., a broker-dealer (member SIPC) and registered investment advisor offering insurance through LFA Insurance Agency and other fine companies. Alta Peak Wealth Management is not an affiliate of Lincoln Financial Advisors Corp. CRN-2222240-082418

 

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